In recent years, more and more expatriates come to China to live, work or doing business. Gradually, issues concerning succession in terms of death are becoming more common – especially for those who run a business or have purchased property in China.

If an expatriate living in China dies and leaving property in China, the Chinese law including succession law could step in if the deceased fails to make a will before death.

The first question is: which law shall govern the succession of the property?

Under the Law of the Application of Law for Foreign-related Civil Relations, the issue is rather complicated, but it is clear that for the real estate located in China, the Chinese law shall govern.

Then comes the second question, how will the property to be distributed?

If the Chinese succession is to be applied, then the legacy will be distributed following the rules below:

First in order: spouse, children, parents.

Second in order: brothers and sisters, paternal grandparents, maternal grandparents.

The Chinese succession law is different from the succession laws in other countries and you may find that this is not what you want.

To avoid the above situation, you may make a will in Chinese under Chinese civil laws to define the distribution of China-based assets in the event of any misfortune.